The leather-producing industry is associated with a large negative environmental impact. A new revolutionary technology, relying on filamentous fungi such as Ganoderma lucidum, is able to answer most problems related to animal-based leather production. This so-called "mycelium leather" has properties that are similar or even superior to animal leather, however, its production process has not yet been commercialized. Possibly, the lack of detailed knowledge on the relationship between the growth and development of the organism and the production process explains the limited access to the full potential of this new type of leather. Here, I propose to study gene regulatory processes that underlie mycelial development and cell structuring in G. lucidum that are relevant to the application. The role of selected transcription factors will be characterized by mapping their regulons and expression profiles throughout the different stadia of the production process. A better understanding of the gene regulatory network will then be used to inform genetic engineering of G. lucidum, by targeting the creation of strains that yield superior material properties. Ultimately, by connecting a biological understanding of the organism’s development with insights into the production process of mycelial leather, we are aiming to achieve increased biomass production, superior physical properties and potentially new innovative features that benefit both the production process and material properties.